Swot Analysis of "Bancaja: Developing Customer Intelligence (B)" written by F. Asis Martinez-Jerez, Katherine Miller includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Bancaja Intelligence facing as an external strategic factors. Some of the topics covered in Bancaja: Developing Customer Intelligence (B) case study are - Strategic Management Strategies, Customer service, Customers and Sales & Marketing.
Some of the macro environment factors that can be used to understand the Bancaja: Developing Customer Intelligence (B) casestudy better are - – central banks are concerned over increasing inflation, supply chains are disrupted by pandemic , technology disruption, talent flight as more people leaving formal jobs, increasing commodity prices, increasing energy prices, customer relationship management is fast transforming because of increasing concerns over data privacy,
cloud computing is disrupting traditional business models, increasing inequality as vast percentage of new income is going to the top 1%, etc
Introduction to SWOT Analysis of Bancaja: Developing Customer Intelligence (B)
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Bancaja: Developing Customer Intelligence (B) case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Bancaja Intelligence, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Bancaja Intelligence operates in.
According to Harvard Business Review, 75% of the managers use SWOT analysis for various purposes such as – evaluating current scenario, strategic planning, new venture feasibility, personal growth goals, new market entry, Go To market strategies, portfolio management and strategic trade-off assessment, organizational restructuring, etc.
SWOT Objectives / Importance of SWOT Analysis and SWOT Matrix
SWOT analysis of Bancaja: Developing Customer Intelligence (B) can be done for the following purposes –
1. Strategic planning using facts provided in Bancaja: Developing Customer Intelligence (B) case study
2. Improving business portfolio management of Bancaja Intelligence
3. Assessing feasibility of the new initiative in Sales & Marketing field.
4. Making a Sales & Marketing topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Bancaja Intelligence
Strengths Bancaja: Developing Customer Intelligence (B) | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Bancaja Intelligence in Bancaja: Developing Customer Intelligence (B) Harvard Business Review case study are -
Superior customer experience
– The customer experience strategy of Bancaja Intelligence in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Organizational Resilience of Bancaja Intelligence
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Bancaja Intelligence does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
High brand equity
– Bancaja Intelligence has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Bancaja Intelligence to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Operational resilience
– The operational resilience strategy in the Bancaja: Developing Customer Intelligence (B) Harvard Business Review case study comprises – understanding the underlying the factors in the industry, building diversified operations across different geographies so that disruption in one part of the world doesn’t impact the overall performance of the firm, and integrating the various business operations and processes through its digital transformation drive.
Cross disciplinary teams
– Horizontal connected teams at the Bancaja Intelligence are driving operational speed, building greater agility, and keeping the organization nimble to compete with new competitors. It helps are organization to ideate new ideas, and execute them swiftly in the marketplace.
Successful track record of launching new products
– Bancaja Intelligence has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Bancaja Intelligence has effective processes in place that helps in exploring new product needs, doing quick pilot testing, and then launching the products quickly using its extensive distribution network.
Learning organization
- Bancaja Intelligence is a learning organization. It has inculcated three key characters of learning organization in its processes and operations – exploration, creativity, and expansiveness. The work place at Bancaja Intelligence is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Bancaja: Developing Customer Intelligence (B) Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Highly skilled collaborators
– Bancaja Intelligence has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive segment. Secondly the value chain collaborators of the firm in Bancaja: Developing Customer Intelligence (B) HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Strong track record of project management
– Bancaja Intelligence is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Ability to lead change in Sales & Marketing field
– Bancaja Intelligence is one of the leading players in its industry. Over the years it has not only transformed the business landscape in its segment but also across the whole industry. The ability to lead change has enabled Bancaja Intelligence in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Effective Research and Development (R&D)
– Bancaja Intelligence has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in, as mentioned in case study Bancaja: Developing Customer Intelligence (B) - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Innovation driven organization
– Bancaja Intelligence is one of the most innovative firm in sector. Manager in Bancaja: Developing Customer Intelligence (B) Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Weaknesses Bancaja: Developing Customer Intelligence (B) | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Bancaja: Developing Customer Intelligence (B) are -
Aligning sales with marketing
– It come across in the case study Bancaja: Developing Customer Intelligence (B) that the firm needs to have more collaboration between its sales team and marketing team. Sales professionals in the industry have deep experience in developing customer relationships. Marketing department in the case Bancaja: Developing Customer Intelligence (B) can leverage the sales team experience to cultivate customer relationships as Bancaja Intelligence is planning to shift buying processes online.
High cash cycle compare to competitors
Bancaja Intelligence has a high cash cycle compare to other players in the industry. It needs to shorten the cash cycle by 12% to be more competitive in the marketplace, reduce inventory costs, and be more profitable.
High bargaining power of channel partners
– Because of the regulatory requirements, F. Asis Martinez-Jerez, Katherine Miller suggests that, Bancaja Intelligence is facing high bargaining power of the channel partners. So far it has not able to streamline the operations to reduce the bargaining power of the value chain partners in the industry.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Bancaja: Developing Customer Intelligence (B), is just above the industry average. Bancaja Intelligence needs to redesign the compensation structure and incentives to increase the revenue per employees. Some of the steps that it can take are – hiring more specialists on project basis, etc.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Bancaja: Developing Customer Intelligence (B) HBR case study still accounts for major business revenue. This dependence on star products in has resulted into insufficient focus on developing new products, even though Bancaja Intelligence has relatively successful track record of launching new products.
High dependence on existing supply chain
– The disruption in the global supply chains because of the Covid-19 pandemic and blockage of the Suez Canal illustrated the fragile nature of Bancaja Intelligence supply chain. Even after few cautionary changes mentioned in the HBR case study - Bancaja: Developing Customer Intelligence (B), it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Bancaja Intelligence vulnerable to further global disruptions in South East Asia.
Lack of clear differentiation of Bancaja Intelligence products
– To increase the profitability and margins on the products, Bancaja Intelligence needs to provide more differentiated products than what it is currently offering in the marketplace.
High operating costs
– Compare to the competitors, firm in the HBR case study Bancaja: Developing Customer Intelligence (B) has high operating costs in the. This can be harder to sustain given the new emerging competition from nimble players who are using technology to attract Bancaja Intelligence 's lucrative customers.
Slow to strategic competitive environment developments
– As Bancaja: Developing Customer Intelligence (B) HBR case study mentions - Bancaja Intelligence takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the industry in last five years.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Bancaja: Developing Customer Intelligence (B), it seems that the employees of Bancaja Intelligence don’t have comprehensive understanding of the firm’s strategy. This is reflected in number of promotional campaigns over the last few years that had mixed messaging and competing priorities. Some of the strategic activities and services promoted in the promotional campaigns were not consistent with the organization’s strategy.
Low market penetration in new markets
– Outside its home market of Bancaja Intelligence, firm in the HBR case study Bancaja: Developing Customer Intelligence (B) needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Opportunities Bancaja: Developing Customer Intelligence (B) | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities highlighted in the Harvard Business Review case study Bancaja: Developing Customer Intelligence (B) are -
Learning at scale
– Online learning technologies has now opened space for Bancaja Intelligence to conduct training and development for its employees across the world. This will result in not only reducing the cost of training but also help employees in different part of the world to integrate with the headquarter work culture, ethos, and standards.
Loyalty marketing
– Bancaja Intelligence has focused on building a highly responsive customer relationship management platform. This platform is built on in-house data and driven by analytics and artificial intelligence. The customer analytics can help the organization to fine tune its loyalty marketing efforts, increase the wallet share of the organization, reduce wastage on mainstream advertising spending, build better pricing strategies using personalization, etc.
Building a culture of innovation
– managers at Bancaja Intelligence can make experimentation a productive activity and build a culture of innovation using approaches such as – mining transaction data, A/B testing of websites and selling platforms, engaging potential customers over various needs, and building on small ideas in the Sales & Marketing segment.
Creating value in data economy
– The success of analytics program of Bancaja Intelligence has opened avenues for new revenue streams for the organization in the industry. This can help Bancaja Intelligence to build a more holistic ecosystem as suggested in the Bancaja: Developing Customer Intelligence (B) case study. Bancaja Intelligence can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Manufacturing automation
– Bancaja Intelligence can use the latest technology developments to improve its manufacturing and designing process in Sales & Marketing segment. It can use CAD and 3D printing to build a quick prototype and pilot testing products. It can leverage automation using machine learning and artificial intelligence to do faster production at lowers costs, and it can leverage the growth in satellite and tracking technologies to improve inventory management, transportation, and shipping.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Bancaja Intelligence can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Bancaja Intelligence can use these opportunities to build new business models that can help the communities that Bancaja Intelligence operates in. Secondly it can use opportunities from government spending in Sales & Marketing sector.
Developing new processes and practices
– Bancaja Intelligence can develop new processes and procedures in Sales & Marketing industry using technology such as automation using artificial intelligence, real time transportation and products tracking, 3D modeling for concept development and new products pilot testing etc.
Leveraging digital technologies
– Bancaja Intelligence can leverage digital technologies such as artificial intelligence and machine learning to automate the production process, customer analytics to get better insights into consumer behavior, realtime digital dashboards to get better sales tracking, logistics and transportation, product tracking, etc.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Bancaja Intelligence to expand its talent hiring zone. According to McKinsey Global Institute, 20% of the high end workforce in fields such as finance, information technology, can continously work from remote local post Covid-19. This presents a really great opportunity for Bancaja Intelligence to hire the very best people irrespective of their geographical location.
Use of Bitcoin and other crypto currencies for transactions
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for Bancaja Intelligence in the consumer business. Now Bancaja Intelligence can target international markets with far fewer capital restrictions requirements than the existing system.
Using analytics as competitive advantage
– Bancaja Intelligence has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in the sector. This continuous investment in analytics has enabled, as illustrated in the Harvard case study Bancaja: Developing Customer Intelligence (B) - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Bancaja Intelligence to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Buying journey improvements
– Bancaja Intelligence can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Bancaja: Developing Customer Intelligence (B) suggest that firm can provide automated chats to help consumers solve their own problems, provide online suggestions to get maximum out of the products and services, and help consumers to build a community where they can interact with each other to develop new features and uses.
Threats Bancaja: Developing Customer Intelligence (B) External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Bancaja: Developing Customer Intelligence (B) are -
High level of anxiety and lack of motivation
– the Great Resignation in United States is the sign of broader dissatisfaction among the workforce in United States. Bancaja Intelligence needs to understand the core reasons impacting the Sales & Marketing industry. This will help it in building a better workplace.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Bancaja Intelligence can face downward pressure on margins from increasing competition from international players. The international players have stable revenue in their home market and can use those resources to penetrate prominent markets illustrated in HBR case study Bancaja: Developing Customer Intelligence (B) .
Backlash against dominant players
– US Congress and other legislative arms of the government are getting tough on big business especially technology companies. The digital arm of Bancaja Intelligence business can come under increasing regulations regarding data privacy, data security, etc.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Bancaja Intelligence in the Sales & Marketing industry. The Sales & Marketing industry is already at various protected from local competition in China, with the rise of trade war the protection levels may go up. This presents a clear threat of current business model in Chinese market.
Stagnating economy with rate increase
– Bancaja Intelligence can face lack of demand in the market place because of Fed actions to reduce inflation. This can lead to sluggish growth in the economy, lower demands, lower investments, higher borrowing costs, and consolidation in the field.
Easy access to finance
– Easy access to finance in Sales & Marketing field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Bancaja Intelligence can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Increasing wage structure of Bancaja Intelligence
– Post Covid-19 there is a sharp increase in the wages especially in the jobs that require interaction with people. The increasing wages can put downward pressure on the margins of Bancaja Intelligence.
Shortening product life cycle
– it is one of the major threat that Bancaja Intelligence is facing in Sales & Marketing sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Capital market disruption
– During the Covid-19, Dow Jones has touched record high. The valuations of a number of companies are way beyond their existing business model potential. This can lead to capital market correction which can put a number of suppliers, collaborators, value chain partners in great financial difficulty. It will directly impact the business of Bancaja Intelligence.
High dependence on third party suppliers
– Bancaja Intelligence high dependence on third party suppliers can disrupt its processes and delivery mechanism. For example -the current troubles of car makers because of chip shortage is because the chip companies started producing chips for electronic companies rather than car manufacturers.
Instability in the European markets
– European Union markets are facing three big challenges post Covid – expanded balance sheets, Brexit related business disruption, and aggressive Russia looking to distract the existing security mechanism. Bancaja Intelligence will face different problems in different parts of Europe. For example it will face inflationary pressures in UK, France, and Germany, balance sheet expansion and demand challenges in Southern European countries, and geopolitical instability in the Eastern Europe.
Environmental challenges
– Bancaja Intelligence needs to have a robust strategy against the disruptions arising from climate change and energy requirements. EU has identified it as key priority area and spending 30% of its 880 billion Euros European post Covid-19 recovery funds on green technology. Bancaja Intelligence can take advantage of this fund but it will also bring new competitors in the Sales & Marketing industry.
Technology acceleration in Forth Industrial Revolution
– Bancaja Intelligence has witnessed rapid integration of technology during Covid-19 in the Sales & Marketing industry. As one of the leading players in the industry, Bancaja Intelligence needs to keep up with the evolution of technology in the Sales & Marketing sector. According to Mckinsey study top managers believe that the adoption of technology in operations, communications is 20-25 times faster than what they planned in the beginning of 2019.
Weighted SWOT Analysis of Bancaja: Developing Customer Intelligence (B) Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers in the HBR case study Bancaja: Developing Customer Intelligence (B) needs to zero down on the relative importance of each factor mentioned in the Strengths, Weakness, Opportunities, and Threats quadrants.
We can provide the relative importance to each factor by assigning relative weights. Weighted SWOT analysis process is a three stage process –
First stage for doing weighted SWOT analysis of the case study Bancaja: Developing Customer Intelligence (B) is to rank the strengths and weaknesses of the organization. This will help you to assess the most important strengths and weaknesses of the firm and which one of the strengths and weaknesses mentioned in the initial lists are marginal and can be left out.
Second stage for conducting weighted SWOT analysis of the Harvard case study Bancaja: Developing Customer Intelligence (B) is to give probabilities to the external strategic factors thus better understanding the opportunities and threats arising out of macro environment changes and developments.
Third stage of constructing weighted SWOT analysis of Bancaja: Developing Customer Intelligence (B) is to provide strategic recommendations includes – joining likelihood of external strategic factors such as opportunities and threats to the internal strategic factors – strengths and weaknesses. You should start with external factors as they will provide the direction of the overall industry. Secondly by joining probabilities with internal strategic factors can help the company not only strategic fit but also the most probably strategic trade-off that Bancaja Intelligence needs to make to build a sustainable competitive advantage.
